What does the new National Procurement Policy Statement mean for you?

The public sector supply chain – what you need to know 

Government spends some £285 billion on public procurement every year. This huge marketplace requires suppliers across all business sectors – from cleaning contracts to catering, furniture to fencing, and building to boilers, central and local government contracts are plentiful, with many contracts suitable for SMEs. 

National Procurement Policy Statement (NPPS) 

The Government has recently released a new National Procurement Policy Statement. 

The NPPS requires contracting authorities to consider social value outcomes in their procurement exercises, alongside additional priorities including: 

  • Creating new businesses, new jobs and new skills in the UK 
  • Improving supplier diversity 
  • Tackling climate change and reducing waste 

What does social value mean? 

Government wants to ensure public procurement enhances social value for communities. How can this be achieved? 

  • By generating economic growth 
  • By creating new jobs and skills designed to support the growth of SMEs 
  • By increasing job opportunities 
  • By contributing to government targets of hitting net zero by 2050 and reducing waste 
  • By supporting start-ups, SMEs and voluntary, charitable and social enterprises  
  • By increasing innovation and technology through the supply chain 

Why does this matter to you (and all other government suppliers)? 

Adding social value to your tender bids helps you stand out from your competitors, and helps local authorities and government hit their targets. 

What you can do to add social value to your tender 

  • Prepare yourself. What are the challenges facing the authority, and how can you help them achieve their objectives? 
  • Look at local environmental policy. How you can help the authority to meet their goals?  
  • What can be done within the scope of the contract to add social value? 
  • Look at what your competitors are doing. What are their policies? 
  • Look at Corporate Responsibility Checklists. What are you already doing which you could include in your bid? 

Top Tip 

Make a start now. A track record looks better on a tender and you won’t be struggling to backfill your policy when you write your bid. 

What should you be doing first to get ready for these changes? 

Prepare: Business intelligence is key, so be ready for opportunities. Supply2Gov can provide you with the insight you need, ahead of the competition. 

Engage: Supplier engagement is about introducing innovation into the supply chain, as well as improving productivity and outcomes.  

Learn: Procurement advice services can help you build your bid with strong social value benefits. 

Remember, Supply2Gov is here to help you with business intelligence and expert advice on growing your business.  

Supply2Gov aims to keep you up to date with all the public sector and supply chain contract information that you need to successfully grow your business. By registering with us, you’ll take your first step towards finding new business opportunities for your organisation. Registration also gives you access to the UK and Ireland’s largest public sector contracts database. 

Register now.